What is a Trust?
Trusts are way of holding assets for the benefit of individuals, while distancing you from some of the liabilities of direct ownership. They can be used to protect your estate from inheritance tax and care home fees, as well as looking after assets for children that are too young to inherit.
Our Trust Service
When using our Will service, our experience and qualified Will writers will provide you with any relevant information and advice on your possible options in regards to a Trust if it appears that your estate or your beneficiaries could benefit from one.
If you would like to include the setting up of a Trust in your Will, your dedicated Will writer will explain the types of Trusts that are applicable to your circumstances and ensure you understand the outcome of using one. Once you have agreed on the type of Trust that would best reflect your wishes, your Will writer will include a section in your Will detailing the Trust that is to be created upon your death.
The Life Interest Trust
A Life Interest Trust can be used as a way of providing for a specific person or persons whilst also ensuring that your assets are protected and at some point distributed to beneficiaries of your choosing. You can set one up at any point or under the terms within your Will.
This type of Trust allows you to designate someone to benefit from a certain asset for a given period of time or until their death. After which the ownership of the asset will revert back to the chosen beneficiaries.
A common example of when this type of Trust is used is when someone has remarried or is in a relationship but has children from a previous relationship. A Lifetime Interest Trust means that a person can leave their property or share of a property (if owned as tenants in common) to their children whilst also protecting their partner’s interest in the property. This is done by using a clause that will allow their current partner to continue to live in the property until they chose to leave or they pass away without fear of being forced to leave by the beneficiaries. Once the terms stated are fulfilled the property will return to the ownership of the children to do with as they please. This also means that the children’s interest in the property is protected in the circumstance that the surviving partner was to change their Will.
Common uses for this type of Trust are:
- Protecting your partner from eviction by the beneficiaries
- Ensuring your estate is distributed to the beneficiaries of your choosing
- The redistribution of your estate if your partner was to remarry
- Organising and managing the distribution of shareholdings between family, business or an enterprise after your death
- Protecting your assets from being used to cover your partner’s potential future care fees or debts
Trusts for minors
There are a few different types of Trusts that can be used for children under the age of 18. Depending on how you wish for your beneficiary to receive their inheritance will affect which type of Trust will best suit your needs and future requirements.
Your dedicated Will writer will provide you with the best available options for you and provide you with the relevant information to make an informed decision whilst choosing how you would like the Trust to be set up.
Bare Trusts are commonly used to hold assets, under the supervision of trustees, for a minor until they turn 18 at which point the contents of the Trust will pass over to them for them to do with as they wish.
A Discretionary Trust allows the trustees to make certain decisions about how the income or capital of a Trust can be used, depending on the terms of the Trust. What decisions or actions the trustees can make will be dictated by the terms in the Trust deeds but could allow the trustees to make decisions in regards to;
- What gets paid out of the Trust
- How often payments are made out of the Trust
- The management of assets within the Trust
- Conditions on the beneficiaries in regards to use of the Trust’s assets
As a Lifetime Legal member you receive a discount on all of our legal services this includes Trust and estate planning services. You also receive a free standard or mirror Wills when you join, meaning you can be assured that your wishes and estate will be well looked after without having to worry about the cost!
Other member benefits include:
Free standard or mirror Wills.
|As a welcome to Lifetime Legal you will be offered a free standard or mirror Wills for couples; you don’t have to do this straight away you can have your Will written whenever you are ready.|
Free updates to your Will.
|Once we have written your Will you can update it at any point for free and ensure it will always reflect your exact wishes regardless of a change in circumstance.|
Unlimited access to our legal advice helpline.
|The advice line can provide you with advice on a wide range of legal matters and is provided by our panel of specially selected expert solicitors.|
Secure online document storage.
|We will provide you with secure online access to your own digital vault, where you can upload and access digital copies of your legal paperwork, mortgage, passport or any other important documents – whenever you wish.|
Secure fireproof and waterproof physical document storage.
|Any documents you choose to store with us will be will be placed in a sealed waterproof wallet in our secure fireproof storage facility, which has the relevant insurance to cover loss of or damage to documents whilst in our care.|
Discount on other legal services provided by Lifetime Legal.
|As a member of Lifetime legal, you will receive discounts on other legal services that you might need, this can be family matters, moving home, Wills, Trusts and Probate.|
To get a free fixed quote for our Trust service or to begin your Lifetime Legal membership and take advantage of discounted fees on our other legal services, speak to a member of our team on 0344 880 2087 or request a call back via our enquiry form.